IT SEGMENT The IT segment provided an important source of recurring revenue during the financial year in review, helping sustain Group earnings during a year of operational adjustment in the other two business segments. As the Group’s original business, the segment draws on longstanding customer relationships, concessionbased services and established technology capabilities. These activities generate consistent income even as other segments face cyclical pressures. Key operating entities within the segment include Dagang Net Technologies Sdn. Bhd., Innovation Associates Consulting Sdn. Bhd., and DNeX Solutions Sdn. Bhd., which together provide trade facilitation platforms, enterprise systems integration and digital technology services for public and private sector customers. Trade facilitation services form a major revenue contributor, particularly the National Single Window (“NSW”), Malaysia’s national digital trade facilitation platform for customs processing and cross-agency trade documentation. The platform connects more than 45,000 users and processes more than 100 million electronic transactions annually, underlining its importance to Malaysia’s trade ecosystem. Several key public sector technology contracts were extended during the year, including the five-year extension of the Integrated Government Financial and Management System (“iGFMAS”) contract and the renewal of the NSW concession. The extensions expanded the segment’s contracted revenue base and indicate confidence in DNeX’s delivery track record. Operational delivery standards stayed high during the year. Service performance met contractual requirements across key platforms, contributing to customer retention and contract renewals. DNeX is also expanding the segment’s commercial reach beyond publicsector projects, including growing technology consulting, systems integration and digital solutions offerings while pursuing opportunities in private sector enterprise technology programmes. AI, sovereign cloud infrastructure and data driven platforms continue to emerge as attractive opportunity areas for the Group. In FY2025, capabilities in AI enabled solutions, digital platforms and secure cloud environments were expanded, while advancing selected technology collaborations aligned with enterprise digitalisation needs. Anchored by predictable concession income and complemented by growth in enterprise technology services, the IT segment delivers a stable earnings base. Contract renewals, expanding private sector engagement and scalable digital platform capabilities support both income visibility and selective growth potential. STRUCTURAL RESET TO IMPROVE EXECUTION Targeted adjustments were operationalised during FY2025 to simplify management across the business segments and enable better control at the Group level. As DNeX scaled its three core business pillars, structural changes were implemented to improve accountability and coordination group-wide. Business development and commercial activities were consolidated under a single Group-level team, replacing segmentbased structures to enhance market engagement, centralise pipeline management and eliminate duplication. Governance and accountability frameworks were strengthened through refined reporting lines and performance review processes, establishing clearer ownership for delivery at both Group and operating segment levels. Cost structures were reviewed to better align expenditure with commercial priorities and operating requirements. Cost management measures introduced during the period improved financial control, while coordination between finance, operations and strategy functions was also improved, enabling decisions to be evaluated more consistently against financial capacity, operational priorities and risk exposure. Decisionmaking processes were simplified to reduce internal complexity and clarify authority within operating units. Clearer coordination between business units, tighter cost control and more structured performance management are expected to support more consistent delivery and improved operating outcomes going forward. DRIVING MEASURABLE PERFORMANCE For the Semiconductor segment, the priority is to raise the share of higher value Emerging Technology products together with tighter production stability at SilTerra. Target applications cover AI, data centres and advanced industrial technologies as DNeX increases its exposure to higher-value semiconductor markets. GCEO IN FOCUS FY2025 required decisive financial actions to ensure DNeX operates on a more sustainable and commercially sound foundation. 43 OPERATIONAL REVIEW SUSTAINABILITY STATEMENT GOVERNANCE FINANCIAL STATEMENTS SHAREHOLDERS’ INFORMATION INTELLIGENCE POWERING
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